Crypto exchange Binance announced on Friday that withdrawal fees for all major cryptocurrencies on the Tron (TRX) network will be increased.
The move comes after the Tron community passed Proposal 83 to change the energy charging mechanism in smart contracts to a dynamic energy model.
Binance Adjusts Tron Network Withdrawal Fees
According to an official announcement on February 10, Binance will adjust withdrawal fees on the Tron (TRX) network based on proposal 83 adopted by the community last month.
According to proposal 83, a mechanism is introduced on the Tron network to perform dynamic regulation of energy in contracts to balance the distribution of energy between contracts. The energy consumption of a contract is dynamically adjusted according to the use of the fulfillment resources.
Nearly 85% of the CPU execution time of the current Tron network is concentrated on a few contracts and some of them are low value or even fraudulent contracts. The dynamic energy model thus increases the transaction costs of small and fraudulent transactions without affecting other dApps.
Withdrawal fees for stablecoins such as USDT, USDC and TUSD more than doubled to 2.6. However, BUSD stablecoin now has a withdrawal fee of 2.2, compared to 0.8 BUSD before adjustment.
TRX withdrawal fee increases from 1 to 15 TRX. Meanwhile, other crypto assets on the Tron network such as BTTC, JST, NFT, SUN, and WIN have withdrawal fees of an equivalent of 40 TRX.
Will it affect Tron token trading volume?
The increase in withdrawal fees on the Tron network could have a major impact on the trading volume of crypto tokens on Tron. It could also likely affect prices. Crypto Twitter is disappointed that Tron is moving in the opposite direction from its goal of eliminating costs and creating convenience.
TRX price is currently trading at $0.06308, down more than 3% in the last 24 hours.
Also Read: Binance Upgrades Proof Of Reserves System, Adds Shiba Inu And Solana
Varinder is a technical writer and editor, technology enthusiast and analytical thinker. Fascinated by disruptive technologies, he has shared his knowledge about Blockchain, Cryptocurrencies, Artificial Intelligence and the Internet of Things. He has been associated with the blockchain and cryptocurrency industry for quite some time and is currently covering all the latest updates and developments in the crypto industry.
The content presented may contain the personal opinion of the author and is subject to market conditions. Do your market research before investing in cryptocurrencies. The author or publication is not responsible for your personal financial loss.
This post Binance increases withdrawal fees for crypto assets on Tron
was published first on https://coingape.com/binance-raises-withdrawal-fees-for-crypto-assets-on-tron-network-crypto-twitter-reacts/